According to reports from Bitmine, Ethereum is trading at $1,611.11 after falling about 6% over the past week, with the cryptocurrency down 22% over the past month. Despite the price weakness, Bitmine Chairman Tom Lee believes the decline stems from quarter-end positioning rather than changing the company's Ethereum prediction. The company's latest filing shows 5.700 million ETH holdings valued at $1,569 per ETH, creating a $240 million gap between reported and market prices.
As reported by Bitmine, Lee stated in his recent interview that the recent weakness resembles classic quarter-end window dressing. According to him, fund managers often trim underperforming assets before reporting periods to improve portfolio appearances. He believes this process, rather than deteriorating fundamentals, has weighed on Ethereum in recent weeks. Bitmine reinforced this view by maintaining its large Ethereum position instead of reducing exposure, with the company adding 27,084 ETH this week during the selloff.
According to Bitmine reports, the company has accumulated ETH during the decline, with 4.718,677 ETH staked representing over 85% of total holdings. The firm now holds 4.7% of total ETH supply, which represents 94% of its "Alchemy of 5%" target, requiring approximately 335,000 more ETH to reach its goal. Lee expects to achieve the 5% target in 2026, with the company's $555 million in cash and securities nearly sufficient to fund this acquisition. Bitmine was also added to the Russell 1000 Large-cap Index on June 26, which Lee expects will attract "hundreds and possibly thousands" of new institutional holders.
Despite reporting $9.8 billion in total assets, Bitmine trades at a significant discount with a market cap of $6.27 billion, representing only 64% of reported holdings. The company's $180 million Beast Industries stake and $74 million Eightco position are valued at $104 million in the filing, while 206 bitcoin are included in the total asset mix. This $3.53 billion discount reflects market skepticism about the company's ability to monetize its ETH exposure effectively.
As reported by Bitmine, Ethereum is testing a key resistance zone between $1,600 and $1,610, where recent rallies have repeatedly lost momentum. A daily close above $1,610 would strengthen the recovery and could send ETH toward $1,700. Initial support sits near $1,560, which has attracted buyers during recent pullbacks. If that level breaks, ETH could revisit $1,500, while $1,450 marks the next major demand zone. Lee continues to view Ethereum as undervalued over the long term, having projected potential targets between $7,000 and $9,000, with the most likely scenario being continued consolidation after quarter-end positioning eases.
